Green light to fast-track construction worker housing in regional NSW

17 December 2024

The Minns Labor Government has introduced a new planning pathway to fast-track housing for construction workers on major infrastructure projects in Renewable Energy Zones (REZ).

Housing for temporary workers who are delivering major infrastructure projects is necessary but can place strain on local towns, especially in areas where housing supply is limited.

The new pathway will help deliver more homes in regional NSW, speed-up renewable energy project development, and support councils to manage the flow of construction workers on major infrastructure projects. It will also ease pressure on local rental markets.

Under the pathway, construction worker accommodation is clearly defined and can be built in residential zones. The pathway also provides the opportunity for proponents and councils to determine the best use of this accommodation into the future.

Streamlined approvals for construction worker accommodation will not only provide councils with greater clarity on their housing supply pipeline, but it also provides greater certainty for renewable energy developers on how worker accommodation will be built and managed during and after the construction of a project.

This policy was designed following feedback from the public exhibition of the proposed temporary and seasonal workers accommodation toolkit last year. An urgent need to address the lack of housing for construction workers in REZ areas was a key issue identified by councils.

The amendments will come into force under State Environmental Planning Policy (Housing) 2021 and Local Government (Manufactured Home Estates, Caravan Parks, Camping Grounds and Moveable Dwellings) Regulation 2021.

The Department of Planning, Housing and Infrastructure has released a guideline that provides practical guidance to help councils, industry and the community navigate these new controls.

Minister for Energy Penny Sharpe said:

“The Minns Government is delivering a renewable energy future for NSW.

“The transformation of our electricity system to deliver cheap and reliable power is an investment that will benefit people for generations to come, but to do this we need to make sure we create the right conditions for projects to be delivered.

“This new policy will support more renewable projects to be delivered, by giving project proponents certainty about workforce accommodation.”

Minister for Planning and Public Spaces Paul Scully said:

“The Minns Government has sped up the approval of renewable energy projects and this means we need to simultaneously speed up the way housing for the workers the projects are attracting is approved.

“In regional communities, housing availability presents a challenge when large numbers of temporary workers come to town to deliver the projects.

“This new policy provides clear and practical guidance to regional councils on managing spikes in housing demand, helping renewable projects get off the ground faster.”